The Effect of Channel Function Performance on Relationship Quality with Organizational Buyers: A Case Study in Iranian Food Distribution Company

Abstract

The continuous changes in the world and the pressure of competition in global markets make organizations to preserve and improve long term relations with customers. Additionally, the feature of distribution network has changed the quality of relationship into a strategic opinion. This research attempts to investigate the relationship quality between distributer channel function with their organizational buyers as well as the impact of interdependence between the partners in the relationship. A survey was conducted by questionnaire instrument distributed between 243 organizational buyers of Iranian Food Distribution Company. Data were analyzed by SPSS and LISREL software. Testing a structural equation modeling showed that the operation of distributor has a positive effect on the relationship quality while the effect of total interdependence on relationship quality became negative.